If a client asks you to summarize risk management, how would you answer them? According to Thomas Henske, CFP, ChFC, a 21-year MDRT member from New York, New York, USA, it boils down to the three main things that can happen to you: living, dying and becoming disabled:
- Live: Making sure that if you live a long life, you don’t run out of assets.
- Die: Maintaining your families’ and/or business’ lifestyle if you were to die prematurely.
- Disabled: Insuring that if you become too sick or hurt to work or carry on your daily activities, you have money available to cover that care and replace your lost income.
“Clients typically come to us with some of the basic forms of protection,” Henske said, “and it is our job to match what they have with what they feel they need — and budget accordingly.”
See lots more about client communication and strategy in the MDRT Financial Planning Guide